Building a company that runs successfully without you involves thinking of your business as an asset, rather than a job.
The core idea is to set your company up to be self-managing and attractive to an acquirer—even if you have no plans to sell. Making yourself attractive to an acquirer involves the very same things you need to create a self-managing company, because in essence, they are the same thing.
Acquirers look for companies that can run without their founder, which also happens to be the key ingredient in a self-managing business. Therefore, our approach involves optimizing your company’s performance across eight dimensions important to acquirers.
Once you’ve got a business that can run smoothly without you pulling all of the strings, the next step in our process is to create a recurring revenue stream.
An annuity stream of revenue makes your company more predictable so you can plan for the future efficiently. It also boosts the lifetime value of your typical customer and most importantly, it jacks up the value of your company—in some cases doubling or even tripling the value of each dollar of revenue in the eyes of an acquirer.
This step can be a head-scratcher for a lot of owners, but there are nine unique subscription models to choose from, and just about any business can leverage at least one.
The final step in our approach involves harvesting the value you’ve created. It’s one thing to have built value on paper, but it’s quite another to have the cash in the bank. Selling your business well is both science and art.
Our methodology will teach you how to build a compelling narrative and will give you a step-by-step guide for avoiding some of the land mines that trip up even the savviest owners.
Our approach shows you how to value your business, time your exit to maximize your take, find buyers and create a bidding war, which will allow you to punch above your weight in a negotiation to sell.